Last month Federal Minister for Aged Care Ken Wyatt put forward his vision for older Australians – this included viewing 70 as the new 40 and seniors being healthy enough to work or volunteer well into their 80s!
So what does this mean for us?
Right now more than six million Australians aged between 50 and 75 are facing an extended life expectancy.
The number of us aged 65 and over is projected to more than double during the next 40 years, and many of us are failing to prepare well for living to 100 years of age.
On average, we are retiring between 61 and 62, and research by the Australian Securities & Investments Commission suggests that 27 per cent of us aged 55 and over aren’t saving and preparing for the future.
What is the ‘third age’?
As lifespans lengthen, the financial implications, both for senior Australian and for taxpayers in general, may dictate longer working lives.
Given our increased longevity, Mr Wyatt believes the concept of a ‘third age’ should be re-examined.
The third age could be a new transitional phase, for when people are moving out of the traditional workforce, into an exciting new period of their lives. This may involve part-time employment, changing careers, volunteer work or a combination of both.
Is it time we consider the ‘seniors gap year’?
Like teenagers have done for decades, as they plan their studies and career paths, this ‘gap year’ could allow older people to map out their future while maintaining job security.
For these reasons, Mr Wyatt believes the ‘seniors gap year’ should be made available for employees in the lead up to the traditional retirement age.
This ‘gap year’ could allow older people to map out their future. As it is currently outside of government policy Mr Myatt is going to work towards convincing others ministers of its merits.
Financial planning for your future
Again we need to ask the question – what do we want our futures to look like?
While half have a financial plan for the next five years, only a third has a plan for the next 10 years.
Take control of your future and speak to the team at Growth Partners’ accredited and highly experienced financial advisors.
We can help you plan your ‘third age’ and life well into retirement years. Find out more about our financial planning services.